Wednesday, June 20, 2012

ADB and multilateral donors scale up $175 billion to support for transport

The Asian Development Bank (ADB) and seven
other multilateral development banks (MDBs) today announced their commitment to
provide more than $175 billion of loans and grants for transport in developing
countries over the next decade.
“Rapid motorization is creating more congestion, air pollution, traffic
accidents and greenhouse gas emissions – especially in developing countries,”
said ADB president Haruhiko Kuroda, speaking on behalf of the MDBs at a news
conference in Rio de Janeiro. “Developing countries have the opportunity to
leapfrog to a greener future of less motorization, shorter commutes, and more
energy efficient transport systems.”
Global CO2 emissions from the transport sector are projected to increase nearly
50 per cent by 2030 – with profound environmental, economic and social
consequences – unless dramatic changes are adopted.
In many Asian nations, losses from traffic-related congestion already amount to
five per cent of GDP. Many large Asian cities also suffer from the highest air
pollution levels in the world, contributing to the premature death of half a
million people each year.
Inadequate transport continues to exacerbate poverty and inequality in many
regions of the world, inhibiting access to schools, healthcare, markets, and
job opportunities.
Yet despite the importance of the transport sector, which also directly
contributes 5-10 per cent of GDP in most countries, it has been largely
neglected in the global sustainable development agenda. The joint MDB
investment is intended to help develop and implement more
environmentally-friendly, accessible, affordable, and safe transport solutions.
Sustainable transport solutions are available. ADB is already supporting green
transportation solutions across Asia, including low-cost electric vehicles in
the Philippines, urban metrorail systems in Viet Nam, bus rapid transit systems
in Mongolia and Bangladesh, and inland waterway transport in the People’s
Republic of China.
Today’s announcement was made on the opening day of the Rio+20 United Nations
Conference on Sustainable Development by the African Development Bank, ADB, CAF
– Development Bank of Latin America, the European Bank for Reconstruction and
Development, the European Investment Bank, the Inter-American Development Bank,
the Islamic Development Bank, and the World Bank.